Catholic Group Is Exempt From Unemployment Tax, US Tells SCOTUS

Catholic Charities Bureau Inc. should be eligible for an exemption from Wisconsin’s unemployment tax because it has a religious intent, regardless that secular entities offer similar services, the federal government told the US Supreme Court.

The Wisconsin Supreme Court interpreted the religious exemption in the state Unemployment Compensation Act to be identical to exclusions in the Federal Unemployment Tax Act, but then misinterpreted that law, the government said.

The Wisconsin Supreme Court held that organizations that provide unconditional services without requiring recipients to convert into or practice the religion in order to receive the benefits don’t have a religious objective. ...